Question

What is meant by the promotion mix? Briefly explain the elements of the promotion mix. 

Answer 1

Promotion mix refers to the composure of several promotional tools used by the business to create, maintain and increase the demand for goods and services. 
Elements or promotion mix :

1. Personal selling: It is a part of the promotional mix which involves a one to one communication between buyers and customers (either potential or already customers). As it is a one-to-one communication, it generates direct contact with prospects and customers. Even though it is considered to be one of the most expensive forms of promotion, it is also considered to be the most successful as a seller-buyer relationship can be created and developed. 

2. Advertising: One of the key factors in the promotional mix, which contributes to brand building and also how the market perceives the company, is advertising. It is always a big part of the promotional mix because of the far and wide reach of advertising and the message that you can send to your existing and potential customers. Good advertising can build a solid brand for the company. On the other hand, bad advertising with a wrong message can cause the brand or product to fail. 

3. Direct marketing: While advertising targets a mass-audience, direct marketing targets prospects, and customers. Social media marketing, Email marketing, Internet marketing are all types of direct marketing used by companies. They have become important in the promotional mix lately because people are using the internet far more than they used to a decade back. Companies employ direct marketing in order to engage in one-way communication with their customers, about product announcements, special promotions order confirmations as well as customer inquiries.

4. Sales promotions: Sales promotions are one of the most common types of promotions used by companies. Their main purpose is to stimulate purchasing and sales. While it has the potential of increasing sales, it is also beneficial for informing prospects about new products on the market or just to recapture old or lost customers. Such examples include coupons, product samples, etc.